The National Savings Bank (NSB) has reported a 126% increase in Profit After Tax (PAT), soaring to Rs. 16.29 billion from Rs. 7.22 billion in 2023 for the year ended December 31, 2024..
Chairman of NSB, Dr Harsha Cabral PC, said, “NSB’s financial success in 2024 underscores the strength of our strategic vision, disciplined execution, and unwavering dedication to our customers and stakeholders.”
“Despite a challenging macroeconomic environment, we have demonstrated resilience, achieving record profitability while maintaining a strong balance sheet and a stable risk profile.
“Our commitment to sustainable growth, prudent governance, and financial inclusivity continues to drive our long-term success. As we look ahead, we will further strengthen our role as a key pillar of Sri Lanka’s financial sector, ensuring that we create lasting value for the nation and its people,” he said.
A pivotal driver of this performance was the 146% surge in net interest income, soaring to Rs. 72.78 billion from Rs. 29.57 billion in 2023. This growth was achieved despite a 10% year-on-year decline in interest income, primarily stemming from an accommodative monetary policy stance that resulted in subdued yields on loans and government securities.
However, the substantial 34% reduction in interest expenses to Rs. 130.97 billion outpaced the decline in income, propelling a significant expansion in net interest income.
General Manager/CEO, Ms. Shashi Kandambi said, “By recalibrating our deposit strategies and capitalising on favourable rate environments, we have significantly strengthened our interest margins.” Complementing this growth was a 37% rise in net fee and commission income (Rs. 1.75 billion) and robust trading gains (Rs. 912 million), reflecting diversified revenue streams.
Fair value adjustments on financial assets contributed Rs. 442 million, reflecting a nimble approach to market volatility. Collectively, these factors fuelled a 122% growth in total operating income, which more than doubled from Rs. 34.35 billion in 2023 to Rs. 76.34 billion in 2024. The robust expansion of non-interest income highlights NSB’s strategic focus on fee-based services and innovative financial solutions.
